Overview
A Sold threshold is a work order type setting that determines the dollar amount subtotal when a work order is considered closed or converted. This helps you run reports on how effective your team is selling and performing work orders you consider to be valuable to your business.
Who uses this feature
Administrators and office employees
Applies to all business types
Applies to all trades
How sold thresholds work
The sold threshold is a tool used to analyze completed work orders. It helps you focus on the work orders that help you stay profitable and not just any work order with a positive invoice subtotal.
The sold threshold allows you to set the dollar value for when you consider a work order to be valuable. For example, if a $50 plumbing repair is worthwhile to your business, you can set the sold threshold to $50. A completed plumbing repair work order is considered an opportunity, but only work orders that meet or exceed the sold threshold are considered converted opportunities.
You assign different sold thresholds based on work order type. For example, a $75 maintenance visit might be worthwhile, but a $75 HVAC install probably is not, so you would set a higher sold threshold for install work orders.
By setting sold thresholds for all your different work order types, you can run reports to measure your sales team’s close rates and to measure your install, maintenance, and service teams’ conversion rates.
Glossary
Work order terms
Sold threshold: A work order type setting where you set the dollar amount that you consider a work order is sold or converted.
Sold job (work order): A sales work order where the sum of all Sold estimates meets the sold threshold. Sold work orders are also referred to as closed work orders.
Converted job (work order): A service, maintenance, or install work order where the invoice subtotal meets the sold threshold.
No Charge/Unconvertible by default: A work order type setting that, when enabled, marks work orders as No Charge. Typically, this includes recall and warranty work order types.
Note: You can add invoice items to No Charge work orders. If the total of sold estimates or invoice subtotal meets the sold threshold, the work order is considered a closed or converted opportunity and is included in close or conversion rate calculations.
Sales work order metrics
A sales work order is any work order where estimates are created and presented to customers.
Sales opportunity: A work order that has the potential to become a closed opportunity. Basically, a work order that is not No charge or Unconvertible.
Closed opportunity: A completed work order where the total of sold estimates meets the sold threshold.
Close rate: Number of closed opportunities compared to the number of sales opportunities.
close rate = [count of closed opportunities] / [count of sales opportunities] * 100%
Service, maintenance, and install work order metrics
Job (work order) opportunity: A work order that has the potential to be converted. Basically, a work order that is not No charge or Unconvertible. Also known as a demand call.
Converted opportunity: A completed work order where the invoice subtotal meets the sold threshold. Also known as a demand money call.
Conversion rate: Number of converted opportunities compared to the number of work order opportunities.
conversion rate = [count of converted opportunities] / [count of work order opportunities] * 100%
Set your sold threshold to at least $1
If your sold threshold for a work order type is $0, all completed work orders—including No Charge work orders—are considered to be converted, even if no work is performed.
With a $0 sold threshold, conversion rates are always 100%. This eliminates the value of reporting on opportunities.
By setting the sold threshold to at least $1, No Charge work orders that don’t meet the sold threshold are not included in opportunity reporting. This improves the accuracy of opportunity-related key performance indicators (KPIs).
For example, the Opportunity Work Order Average KPI shows the average invoice subtotal of work order opportunities. When you set sold thresholds greater than $0, the KPI calculation removes No Charge work orders and you can expect opportunity work order averages to increase.
Run reports on opportunities
Sold thresholds are used to run reports based on the Business Unit Performance or Technician Performance templates to measure how well your teams are performing:
Close rates show how well your technicians are selling estimates that meet the sold threshold.
Conversion rates show how well your technicians are completing work orders with invoice subtotals that meet the sold threshold.
Sold threshold strategies and examples
You want to set sold thresholds so that you can report on opportunities that have value to your business.
A good rule of thumb is to set the sold threshold for a work order type to a minimum of $1 over your dispatch fee. The idea is that your dispatch fee covers the cost of sending out a technician. Therefore a valued work order should have a subtotal that at least exceeds your dispatch fee.
If you’re unsure or the work order type does not include a dispatch fee, set the sold threshold to $1 so your opportunity reports do not include No Charge and Uncovertible work orders.
Sales work order types
A sales technician is dispatched to build and present estimates to a customer. The technician is expected to sell estimates and there is no dispatch fee.
Set the sold threshold to $1
Service work order types
A technician is dispatched for a service work order; for example, clearing a drain. The technician has the opportunity to upsell and there is a $49 dispatch fee.
Set the sold threshold to $50
Recall work order types
Recall work orders, also known as callback work orders, are created to fix a problem caused by an earlier work order. No upsell is expected and the work order type is marked as No Charge/Unconvertible.
Set the sold threshold to $1
Want to learn more?
Visit ServiceTitan Academy to enroll in Managing Job Type Settings